Transdigm Group Incorporated (TDG) Upgraded to “Hold” at Zacks Investment Research
Transdigm Group Incorporated (NYSE:TDG) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report issued on Wednesday.
According to Zacks, “TransDigm’s excellent business operation model, which implements value-based operating strategies guided by three value driver concepts, has helped the company generate sufficient organic & inorganic growth and drive operating margin expansion over the past few quarters. This apart, TransDigm’s strategic acquisitions in the proprietary aerospace businesses has bolstered its aftermarket content, thus supplementing sales. However, mounting interest expenses and escalating debt burden continue to bother TransDigm’s financials. Further, TransDigm is seeing some negative trends at present, like soft business jet, helicopter and freighter revenues, which might dent its top line growth in the near future. The company has some concerns about the commercial transport industry in the coming times as well. In light of such adversity, the company’s shares have dismally underperformed the industry average, on a year-to-date basis.”
Several other research firms have also issued reports on TDG. Wolfe Research lowered Transdigm Group from an “outperform” rating to a “market perform” rating in a research report on Thursday, July 20th. Deutsche Bank AG lifted their price target on Transdigm Group from $305.00 to $320.00 and gave the stock a “buy” rating in a research report on Wednesday, August 9th. Canaccord Genuity reaffirmed a “buy” rating and issued a $330.00 price target (up previously from $300.00) on shares of Transdigm Group in a research report on Wednesday, August 9th. Jefferies Group LLC lifted their price target on Transdigm Group from $283.00 to $322.00 and gave the stock a “buy” rating in a research report on Thursday, August 3rd. Finally, Stephens lowered Transdigm Group from an “equal weight” rating to an “underweight” rating and set a $230.00 price target for the company. in a research report on Thursday, August 3rd. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the company’s stock. The stock presently has an average rating of “Buy” and an average target price of $295.11.
Transdigm Group (NYSE:TDG) last announced its quarterly earnings data on Thursday, November 9th. The aerospace company reported $3.48 EPS for the quarter, beating the consensus estimate of $3.18 by $0.30. The business had revenue of $923.89 million during the quarter, compared to analyst estimates of $959.77 million. Transdigm Group had a negative return on equity of 30.13% and a net margin of 12.44%. The company’s revenue for the quarter was up 5.6% on a year-over-year basis. During the same quarter last year, the firm posted $3.29 earnings per share. equities analysts expect that Transdigm Group will post 12.76 EPS for the current year.
In other Transdigm Group news, VP Robert S. Henderson sold 15,000 shares of the business’s stock in a transaction dated Monday, October 16th. The stock was sold at an average price of $263.74, for a total transaction of $3,956,100.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Raymond F. Laubenthal sold 6,000 shares of the business’s stock in a transaction dated Monday, October 16th. The shares were sold at an average price of $263.78, for a total value of $1,582,680.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 27,000 shares of company stock valued at $7,063,920. Corporate insiders own 10.52% of the company’s stock.
Several hedge funds have recently bought and sold shares of the company. Cleararc Capital Inc. lifted its position in shares of Transdigm Group by 0.3% during the 4th quarter. Cleararc Capital Inc. now owns 1,230 shares of the aerospace company’s stock valued at $306,000 after buying an additional 4 shares in the last quarter. LS Investment Advisors LLC lifted its position in shares of Transdigm Group by 0.3% during the 2nd quarter. LS Investment Advisors LLC now owns 2,263 shares of the aerospace company’s stock valued at $608,000 after buying an additional 6 shares in the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in shares of Transdigm Group by 3.8% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 382 shares of the aerospace company’s stock valued at $103,000 after buying an additional 14 shares in the last quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its position in shares of Transdigm Group by 0.5% during the 4th quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 2,875 shares of the aerospace company’s stock valued at $716,000 after buying an additional 15 shares in the last quarter. Finally, Profund Advisors LLC lifted its position in shares of Transdigm Group by 1.1% during the 2nd quarter. Profund Advisors LLC now owns 1,334 shares of the aerospace company’s stock valued at $359,000 after buying an additional 15 shares in the last quarter.
Transdigm Group Company Profile
TransDigm Group Incorporated is a designer, producer and supplier of engineered aircraft components for use on commercial and military aircraft in service. The Company operates through three segments: Power & Control, Airframe and Non-aviation. The Power & Control segment includes operations that primarily develop, produce and market systems and components that provide power to or control power of the aircraft utilizing electronic, fluid, power and mechanical motion control technologies.
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